From Nassau to Suffolk — Why Long Island Employers Are Turning to PEOs

Running a business on Long Island isn’t for the faint of heart. Employers from Nassau to Suffolk County are up against high labor costs, tight hiring competition, and complex state and local regulations. In this landscape, many small to mid-sized businesses are turning to Professional Employer Organizations (PEOs) to streamline operations and stay competitive.

The Long Island Labor Market

Industries like construction, healthcare, hospitality, and professional services form the backbone of Long Island’s economy. But business owners often face:

• High employee turnover, especially when competing with better-funded NYC employers

• Skyrocketing health insurance costs, making it hard to offer attractive benefits

• Stringent compliance regulations, from wage transparency to OSHA reporting

How a PEO Supports Long Island Businesses

PEOs partner with employers to handle HR, compliance, and employee benefits. Their services include:

1. Affordable Benefits – PEOs offer access to group health plans with rates typically reserved for large corporations.

2. Payroll & HR Support – Automate and manage payroll, taxes, onboarding, and leave tracking.

3. Compliance Expertise – Stay ahead of changing state laws and required training mandates.

4. Risk Management – Handle workers’ comp claims and reduce employer liability.

Case Study

A landscaping company in Suffolk with 18 employees couldn’t afford competitive benefits. After joining a PEO, premiums dropped by 20% and they added a 401(k). Turnover dropped dramatically.

Why More Are Making the Switch

From family-owned trades in Nassau to private medical practices in Suffolk, more Long Island businesses are discovering that PEOs reduce costs and strengthen retention—without adding complexity.